A Business Pays Off a Note Payable

question 9

Multiple Choice

A business pays off a note payable. What effect does this have on the accounting equation?

• A)Assets increase, Liabilities decrease, and Stockholders' Equity remains the same.
• B)Assets decrease, Liabilities remain the same, and Stockholders' Equity increases.
• C)Assets decrease, Liabilities decrease, and Stockholders' Equity remains the same.
• D)Assets increase, Liabilities remain the same, and Stockholders' Equity increases.

---

Definitions:

Open

Being accessible or susceptible to new information, ideas, or changes without prejudice.

Established Beliefs

Ideas or opinions that are accepted by a group or society as true or sensible over time.

Cover Letter

A document sent with a resume to provide additional information on one's skills and experience, tailored to the specific job application.

Job Seeker's Suitability

The alignment between an individual's skills, experiences, and values with the requirements and culture of a prospective job.